Mobile gaming is a huge and growing industry. According to a report by Newzoo, mobile games generated $90.7 billion in revenue in 2020, accounting for 49% of the global games market. However, not all mobile games are equally profitable. In fact, most mobile games struggle to make money or even break even. So, how can you make your mobile game earn? You need to have a game monetization strategy. In this post, we will explain what game monetization is, why it is important, and what methods you can use to monetize your mobile game.
What is game monetization?
Game monetization is the process of generating revenue from your mobile game. It involves designing and implementing features and mechanisms that encourage players to spend money or view ads while playing your game. Game monetization can be done in various ways, such as in-app purchases, subscriptions, ads, sponsorships, and more.
Why is game monetization important?
Game monetization is important for several reasons. These are some of them:
- It helps you cover your development costs
Developing a mobile game can be expensive and time-consuming. You need to pay for the tools, software, hardware, licenses, servers, marketing, and other expenses involved in creating and launching your game. Game monetization can help you recover your investment and make a profit.
- It helps you sustain your game
Maintaining a mobile game can also be costly and challenging. You need to constantly update your game with new content, features, bug fixes, and security patches. You also need to keep your players engaged and satisfied with your game. Game monetization can help you generate a steady income stream that allows you to support your game in the long run.
- It helps you grow your game
Expanding a mobile game can be rewarding and risky. You need to invest in new markets, platforms, languages, genres, and audiences. You also need to compete with other games in the industry. Game monetization can help you fund your growth and scale your game to new heights.
What are the different methods of game monetization?
Game monetization methods can be classified into two main categories: paid and free. Paid methods require players to pay upfront or periodically to access or play your game. Free methods allow players to play your game for free but offer optional or mandatory ways to spend money or view ads within your game.
Paid methods include:
- Premium
Premium games charge players a one-time fee to download or install your game. This method ensures that you get paid for every player who plays your game. However, this method also limits your potential audience and revenue as many players are reluctant to pay for a game they haven’t tried yet.
- Subscription
Subscription games charge players a recurring fee to access or play your game. This method guarantees that you get a consistent income from loyal players who enjoy your game. However, this method also requires you to provide high-quality content and service that justify the subscription fee.
Free methods include:
- In-app purchases
In-app purchases (IAPs) allow players to buy virtual items or services within your game using real money. These items or services can be cosmetic (such as skins, outfits, or accessories), functional (such as weapons, power-ups, or lives), or consumable (such as coins, gems, or energy). This method enables you to monetize both casual and hardcore players who are willing to spend money to enhance their gaming experience.
- Ads
Ads display promotional content from third-party advertisers within your game. These ads can be banner (static or animated images), interstitial (full-screen images or videos), rewarded (videos that offer rewards for watching), or native (ads that blend with the game environment). This method allows you to earn money from players who don’t want to spend money on your game but are willing to watch ads in exchange for rewards or benefits.
- Sponsorships
Sponsorships involve partnering with brands or companies that are relevant to your game or audience. These brands or companies can provide you with funding, resources, exposure, or cross-promotion opportunities in return for featuring their products or services in your game. This method can help you boost your credibility and visibility while generating revenue from sponsors who want to reach your audience.
How to choose the best method for your game?
The best method for your game depends on various factors such as:
- Your target audience
You need to know who are the people who play or will play your game. You need to understand their demographics (such as age, gender, location), psychographics (such as interests, preferences, motivations), and behavior (such as play time, spending habits, retention rate).
- Your game genre
You need to know what kind of game you have or will have. You need to consider the gameplay (such as casual, hardcore, puzzle, action), theme (such as fantasy, sci-fi, horror), and platform (such as iOS, Android, web).
- Your game goals
You need to know what you want to achieve with your game. You need to define your key performance indicators (KPIs) such as downloads, revenue, retention, engagement, and ratings.
Based on these factors, you can choose the method that suits your game the most. For example, if you have a casual puzzle game that targets a wide and diverse audience, you might want to use a free method with ads and IAPs. If you have a hardcore action game that targets a niche and loyal audience, you might want to use a paid method with premium or subscription.
Conclusion
Game monetization is a crucial aspect of mobile game development and marketing. It can help you cover your costs, sustain your game, and grow your game. However, you need to have a game monetization strategy that matches your target audience, game genre, and game goals. By using the right method or combination of methods, you can make your mobile game earn and succeed.